You are the accountant for Kamal Fabricating, Inc. and you oversee the preparation of financial statements for the year just ended 6/30/2020. You have the following information from the company’s general ledger and other financial reports (all balances are end-of-year except for those noted otherwise):Cash$9,000 Common stock8,000 Accounts receivable7,000 Accounts payable2,000 Cash dividends declared for the year2,000 Additional paid-in capital6,000 Prepaid insurance5,000 Prior period adjustment, net of income taxes(2,000)Unearned revenue4,000 Retained earnings, beginning of the year6,000 Net income for the year9,000 Prepare the company’s Statement of Retained Earnings.Kamal Fabricating, Inc.Statement of Retained EarningsYear Ended June 30, 2020 $fill in the blank 2 fill in the blank 4 $fill in the blank 6 fill in the blank 8 $fill in the blank 9 fill in the blank 11 $fill in the blank 13

Retained earnings refer to the amount earned by the organization till the date of preparation of the financial statement. The closing balance of retained earnings can be calculated by adding up the net income into the opening balance of retained earning and deducting the dividend from that.

Answered: You are the accountant for Kamal…

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter4: The Balance Sheet And The Statement Of Shareholders' Equity

Section: Chapter Questions

Problem 9C: Situation You are the assistant accountant for Tyler Corporation. It is mid-January 2020 and you are...

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You are the accountant for Kamal Fabricating, Inc. and you oversee the preparation of financial statements for the year just ended 6/30/2020. You have the following information from the company’s general ledger and other financial reports (all balances are end-of-year except for those noted otherwise):

Cash	$9,000
Common stock	8,000
Accounts receivable	7,000
Accounts payable	2,000
Cash dividends declared for the year	2,000
Additional paid-in capital	6,000
Prepaid insurance	5,000
Prior period adjustment, net of income taxes	(2,000)
Unearned revenue	4,000
Retained earnings, beginning of the year	6,000
Net income for the year	9,000

Prepare the company’s Statement of Retained Earnings.

Kamal Fabricating, Inc.
Statement of Retained Earnings
Year Ended June 30, 2020
	$fill in the blank 2
	fill in the blank 4
	$fill in the blank 6
	fill in the blank 8
	$fill in the blank 9
	fill in the blank 11
	$fill in the blank 13

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